Determinants of Customer Satisfaction on Health Insurance in Sri Lanka

Abstract

Customer satisfaction has become a major consideration in determining the rapid growth in the insurance business. This study emphasizes factors affecting customer satisfaction on health insurance, awareness of consumers about health insurance concept and market, and consumer perceptions about health insurance providers. The data was collected through a structured questionnaire distributed among people who have health insurance policies. The 152 responses were collected via a convenient sampling method. The analysis showed that lifestyle issues, customer awareness, and type of policy significantly impact customer satisfaction with health insurance. Insurance company claim settlement showed a moderate positive insignificant relationship with customer satisfaction. Lifestyle issues, customer awareness, and type of policy show a moderate positive significant relationship with customer satisfaction. People are willing to engage with insurance companies who are maintaining their brand name by doing CSR activities. The slow growth in general insurance due to the contraction in health insurance and the volatility of the growth in industry. Therefore, understanding the factors of the customer satisfaction on health insurance policies within Sri Lanka is important: due to limited number of studies regarding this. Further health insurance companies can consider lifestyle issues, customer awareness, and type of policy to improve the sales of the company going forward to enhance the market share in the industry.